medical marijuana remains a hot issue across the country. here is one show's take that barbara walters posed to president obama. >> do you think that marijuana should be legalized? >> at this point washington and colorado. [ laughter ] it does not make sense from a point of view to focus on. [coughing] >> has. >> barbara is trying to resurrect the fume gang. no online show tonight. thanks for inviting us into your home tonight. that's it for "special report." good night from washington. she. right now the factor. >> laura: the o'reilly factor is on. tonight: >> the cliff is a manufactured media drama.

>> laura: manufactured? tell that to all the americans who face steep tax increases if the politicians in washington can't hammer out a budget deal. we have a report. >> bill: i think think fired the janitor and valet car parker at the state department. >> we both have respect for secretary clinton. you are roman catholic as am i. we are now calling this the immaculate condition cushion. secretary of state hillary clinton still m.i.a. after taking a fall two weeks ago. now there is all kinds of speculation about her health, about whether she will ever testify about libya and what will happen to a possible presidential run in 2016. the factor investigates. >> america can be a lawful society and a welcoming society at the same time. >> former president george w. bush is back arguing for a new way forward for republicans. is the g.o.p. finally ready tomorrow brace their former leader? caution, you are about to enter the no spin zone, and the factor begins right now.

>> laura: hi everyone i i'm laura ingraham in for bill o'reilly. thanks for watching us tonight. back-to-work. that's the subject of this evening's talking points memo. yesterday the obama administration announced that the president would cut short his hawaiian holiday to make one more attempt to work out a deal to overt the so-called fiscal cliff. in unison, his pals in the news media repeated this white house talking point. >> president obama cutting short his vacation in hawaii, heading back now to washington. that will happen tonight to work on the fiscal cliff deal. >> the looming fiscal cliff is forcing president obama to cut short his christmas vacation. >> president obama is cutting short his christmas vacation. he is leaving hawaii tonight so that he can be back in washington when congress reconvenes tomorrow. >> laura: so we should believe that by leaving his island

enclave that the president was making some big sacrifice for the country? i'm thinking washington, crossing the delaware on a bitter christmas night 1776 before going on to defeat the british in two major battles, that's sacrifice. i, for one, never understood how in good conscious any of these politicians would think about leaving town with so much riding on this cliff hanger? shouldn't they get their work done before they leave town for a break? that's what's expected for most working americans but then again washington politicians have rules of their own. people whose salaries that we pay are called public servants. meaning they verve us. not the other way around. we don't work to make their lives better. they are supposed to make ours better. the operative word here being work. so much doesn't seem to be working though at all inside the beltway. posturing and puffery replace policy and principle. how often did the fiscal cliff

even come up during the presidential debate? presumably we could have worked on this problem before now with just a few days left in the year? no wonder so many people are tuning out of politics all together these days because it always seems to be zero some gain with the taxpayers left holding the bag. they are the ones forced to turn over more of their hard earned money to a system that seems utterly incapable of proper management. so thanks, mr. president, for coming back to washington. let's hope it's for real work not just for the show of it. the per pettial razzle dazzle as i like to call it the first lady and the obama daughters, lucky them, are staying on the island, and that's estimated to cost the taxpayers as much as $200,000. apparently president obama's statement that we're all needing to sacrifice for the greater good only goes so far. and that's the memo. now on to the top story. some on the far left are not even taking the budget battle

seriously despite the pain it could cause for about 160 million americans. >> this is a manufactured crisis. we don't have a short-term deficit problem. we have a jobs and growth problem and we have a faltering recovery. we should put off the sequester. put off this grand bargain. come back. let the bush tax cuts expire. make sure the middle class doesn't have to pavement the schif a manufactured media drama. >> laura: wow, can you say out of touch? joining us now from new york is maxwell a democratic strategist and guy benson the political editor for "town hall.com." okay. this is quite something. we have been hearing from the obama white house, the congressional budgetffice and any number of conservative economistst that this is serious. that we have got to get this thing done that we have got to get it in order. or at some point america's full faith and credit is going to go away.

we are not going to look so good to the rest of the world as far as credit risk. so let's talk to you about this. is this a manufactured media crisis or does something substantial need to be done here? >> well, i certainly think that the fiscal cliff, that language is a manufactured media narrative. that americans believe on january 1 we are going to be standing in line for bread. that's not going to happen this is all because congress kicked the can down the road. after the debt ceiling, which was a real crisis. and so by not completing resolving that issue in a substantive manner. we now are here at this fiscal slope as i like to call it, not cliff. >> laura: presumably, no matter what you say about what happened a year and a half ago, the president was part of that equation, right? he is the president of the united states. >> he is. but there are three branches of government. >> laura: accountability for that as well: that's for sure and the democrats didn't get around to actually passing a

budget so we need to move on to that that guy, we are going to have the republicans have only so much leverage. in effect they don't have a lot of power here, do they? not really i think we learned that speaker boehner own party we can go back as you said to the debt ceiling debate. the only reason we have cliffs and crises because democrats, particularly in the senate have completely abandoned the legally mandated budgeting process. we have not had a budget in this country for three years. that's why we keep having all these high stakes crises where we are really worried about some deadline that's looming. if we just passed budgets the way we were supposed to and the way the flaw necessitates we wouldn't be having any of these problems, but we have had them year after year.

the american people are so weary of this, laura. >> i love the fact, that the "new york times" once again it's like that time of year. look at my watch the "new york times" is going to attack the tea party which they did today. the tea party has a little narrowing influence they are really on the ropes. that kind of thing as if the tea party is in charge of the white house and the senate. i mean you could say the tea party pick bad candidates this time around the idea that the president and harry reid in the senate don't have enormous power to get a deal done or stay here. don't go away for the holidays. maybe go to camp david like push did only 8 times and actually get the job done for the american people it's convenient to say it's the tea party fault i am not here to scapegoat then. americans though we have three branches of government. nothing can get passed unless the senate and house both pass bills, right? a tea party is a part of the equation. they do not have the amount of

influence that they had before. but they are certainly are necessary to come to some sort of deal here if we're going to get anything done before january 1. i think the bottom line is this: we do not have a short-term deficit crisis. i agree with katrina on that point. we have a revenue problem. and a growth problem. we have millions of americans out of work. that. >> laura: zerlina, you have to be better at math than that. >> i'm very good at math, actually. >> laura: 90% tax rate on the upper income level on the united states is a drop in the bucket. >> that is not what i said, laura. that's not what i said. >> laura: you said we have a revenue problem. we have a jobs problem. >>. no because millions of people are out of work and they are not paying taxes on income they are not receiving. and also those individuals. >> laura: blame the president. this guy guy has been in

office for four years now. >> we put those americans back to work. >> laura: i'm very confused none of it is is obama's fault but it is the tea party's fault. >> i didn't blame the tea party. >> laura, one thing i can't understand here is i can agree with katrina saying we have a job problem. how is raising taxes help? it doesn't make sense to me. if you say we don't have a short-term deficit problem. we have had 4 straight trillion-dollar deficits. at what point does that become a problem. >> half of that is because of the economic crisis. $600 billion of that is because of the economic crisis. >> laura: what did the president say when he came into office? >> i'm saying it's not only the president that is in power. republicans are also in charge as one of the branches of government. i didn't blame the tea party, laura. i didn't even say that? >> that's good that we are saying that because some of your other philosophical friends is going to be intans

gents of the tea party once again. great to see you. directly ahead secretary of state hillary clinton has not been seen for weeks. where is she and will americans ever be told what actually happened in benghazi? and later some republican leaders are now turning to former president george w. bush for inspiration following the disappointing election. so is that a smart move? we're going to debate it when the factor continues.

>> laura: ed in the impact segment tonight where in the world is hillary clinton. she has not been seen in public since taking a fall with a bought with the stomach flu two weeks ago. we're told she sureted a concussion and she needs bed rest. advised to have bed race by a doctor. meantime she has missed a congressional hearing on benghazi. president obama's announcement

about her successor and the state department holiday party. as you already know, the media has already crowned her the 2016 democratic frontrunner. but many are now wondering if she will ever get around to testifying about libya marjorie omero is a democratic strategist joining us now. after we talked about mrs. clinton last thursday and i laid on that line with the immaculate concussion giving full credit to one of my tweets. one of mrs. clinton's top aides emailed me on christmas eve and said look, mrs. clinton, i'm shocked that you would kind of joke about. this she really did fall and she really has been advised to take bed rest. i will take them at their word but nevertheless in the eyes of a lot of people it is a bit of a convenient timing. mrs. clinton hasn't been seen in public. her health is badly compromised, i hope she is

getting medical attention. i don't know if she has gone to the hospital. it doesn't look like she has. but does this mean she will testify after she leaves office, margie? >> i don't think this is convenient timing. she has gone to over 100 countries as secretary of state. i feel nauseous hearing about her schedule. i take her at her word. if there is anybody who would not be afraid to testify in front of congress it's hillary clinton. >> laura: why do you say that? >> because she has been through so much. she has continued to get back out there and face will thats. personal and professional for decades. fearlessly and courageously. >> what does that have to do with benghazi. i'm not trying to be difficult here. forget the testimony for a moment, right? she could have at any point in time after the benghazi attack after the susan rice fiasco she could have done a press conference maybe 20 or 30

minutes and answered questions. i'm going to testify for congress when we learn more. she could have done that. i think she is incredibly tough. she has an incredible schedule and she is i think if you are a democrat you have got to be really happy with mrs. clinton, no doubt about it. so i have a lot of respect for her in that regard. i'm telling you what people are saying. a fall how could that flatten hillary clinton hitting her head and if she did. i'm telling what you people are saying because when i tweeted a couple nights ago that i take her at her word, she fell and i hope she gets better, something like that. people were like how could you say that? there is so much skepticism out there. help us set the skepticism to rest. >> i don't think there is a lot of skepticism. i saw a poll, i think today that showed that her favorable ratings are 2 to 1. americans overall 60% favorable rating. >> you don't think there is anything to answer on benghazi. >> when time is appropriate

and she is feeling better and you know, that's down the road. i don't think this is a manufactured excuse not to testify. >> let's go on to chuck hagel because he now looks like his nomination might not happen or run into serious problems. now chuck schumer a senior senator from new york. respected in democrat circles raising questions implicitly by his reaction on a sunday show to the haggle nomination. that's also supported by other democrats who seem less than enthusiastic about the haggle pick, of course, for secretary of defense. what's your reaction there especially after the susan rice fiasco with her nomination? >> i think you are right that there are some democrats who want to have a conversation about some pieces of senator haggle's record. that makes him interesting and

good choice he once earned two purple hearts. is he a maverick. his whole career. >> laura: why is that a good thing necessarily? again i'm not trying to be difficult. winning two purple hearts is amazing and we celebrate his honor and service. that doesn't have anything to do with why is he a good choice now when both democrats and republicans seem to have real problems with him. seems odd way floating someone as secretary of defense. >> he has a military background. he has a senate background. he has a cost cutting background. he was a business background. administration background. he comes to the table an independent streak that makes him not part of the partisan bickering in washington that people are sick of. while it's perfectly conversation. mitch mcconnell said our number one goal is is to defeat president obama. there is a sense that a lot of republicans want to just block

every single thing. >> laura: if he doesn't get nominated because of the republicans. it's probably going to be because of the democrats, the jewish lobby comment and maybe not voting for the iran libyan sanctions. probably have republican opposition as well. margie great to see you. >> great to sigh. happy holidays. >> laura: happy holidays. next on the run down the newtown massacre stopped shopping in its tracks. later in the wake of that slort in slaughter in connecticut. new york newspaper publishes the names and addresses of local gun permit owners. has their privacy been breached? those stories and more when the factor continues. >> announcer: stop! living with hair loss, that is. losing your hair is no fun and no one wants to be bald, but there is hope. >> getting my hair back was the best thing that ever happened to me. >> i'm happy with the way

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>> laura: in the factor follow up seeing many tent, just hours after 20-year-old adam lanza shot and killed 27 people including 20 children in connecticut this month. the left began demanding new gun control measures. the city of chicago has seen unprecedented violence this year and the mainstream media has largely been silent. nearly 2400 people were shot this year. that's up 12%. more than 480 people were

murdered. that's a 19% increase. and there was no peace during the christmas holiday. one man was killed and 13 other people were injured by gunfire. but, one of the deadliest weekends came over saint patrick's day weekend when 49 people were shot, 10 of them fatally. deadly weekend. >> what's driving this violence, father? >> well, i think there is a number of things. first of all, i think chicago is the poster boy right now. epidemic across the country largely ignoring because the victims are primarily black and brown. but i think you have high unemployment. you have poor education you have communities broken apart and creates perfect storm and culture in this country almost the norm and we have become immune to it we can't get immune to children dying in ourl: all right.

in cities like new york and some other towns across the country, the murder rate is coming down. all right? it's not as bad as it used to be. >> right. >> bill: and a variety of reasons for that community policing, come stat, the computer. in chicago it's going the other way. so there must be something in the windy city, is it gang, narcotic violence? is that's what's going on there? is that what is driving this stuff. >> i think gangs is part of it. we have a new police chief now. i think he is doing a good job bringing about a lot of new strategies. proliferation of guns. there is more guns than there are computers. that's an issue. we had have to break this code of silence where people are afraid to speak up. we have got to get communities engaged and empowered again. police can do a piece of the problem. police are one piece of the problem. communities have laid back and feel police you say can you

solve it, you solve it we're seeing the murder rate continue to spike. that's not acceptable. we need them and want them involved. >> bill: i agree with you. if the community comes together with you. >> right. >> bill: the religious based community should be leading and then the police and everybody cooperates is going to make it a lot harder. >> that's the equal partners. >> bill: narcotics dealers are going to get guns no matter what you do. the argument can be made and one elderly black man south side of chicago got prosecuted because he said i'm tired of people breaking into my house i need a gun and i need it for protection. i'm not taking the gun away from that man, father. i'm sorry. he has the right to protect himself. >> right. but here is what i disagree with. i understand the second amendment. we have been interpreting it people have the right to own guns. i have no problem with that all i'm saying is that we need to title guns like cars. they say criminals always going to get the gun. criminal can't get a car from general motors. if we give a title. that guy that goes and buys 200 guns, he has 200 titles.

he doesn't drfer those titles. >> bill: anything can be tightened up and we support that and we're not arguing about that. >> that's one piece of it. >> bill: this is what i don't understand. this problem has been going on 50 years in the south side of chicago. 5-0. 50 years. it's worse now. can you imagine 49 people shot in the three day period, 49? in one neighborhood? 49 people shot. more people shot in the south side than in afghanistan. it's insane. so 50 years. this has been going on. and 50 years good people have been trying to solve the problem like you, president obama was there. i'm sure he was trying to do some good various politicians improve the district. it doesn't work. it's not working. do you know why? >> well, i believe your view on violence is a little, you know, -- it's too small, to

minuscule. if you are going it view violence, you have to view it more than just the south side of chicago. violence is an american problem there south side of chicago is demonstrable. >> the problem with violence is it's humanitarian issue. even you said yourself. people are being killed in afghanistan. people are being killed all across the world. and anywhere people are being killed, that's horrible. whether it's the south side of chicago. whether it's brooklyn, l.a. >> now you are dancing now. you are dancing with me now. in my neighborhood i don't have anybody killed, all right? nobody is killed. no problem with violence where i live. >> i am sure there are acts of violence in your neighborhood. >> there are no acts of violence in my neighborhood. >> there is not a neighborhood in america that does not have a type of violence. >> you have a demonstrable problem. you have a problem with 6-year-old girls sitting in their front yards or getting shot in the head. >> i agree. >> it's out of control. for 50 years. >> i agree. >> society has tried to help you guys solve the problem and for 50 years society has failed to do that.

i know you are not a miracle worker. there doesn't seem to be any solution right now on the table. is there any solution to this? there are solutions available people have to collaborate and work together. if violence is ever going to be remedied. if it's ever going to be solved. if we are ever going to get rid of the violence in any neighborhood. it's going to take people coming together of all colors and background working together. >> are you going to force them to do it because for 50 years they have not done it are you going to force them to do it? >> absolutely. you can't force anyone to do anything. but there are people who are compassionate in america. there are people who understand the plight of what is going on in inner cities of america. because people are compassionate in america there are people who are rushing to assistance. who are rushing to the cause. even in our neighborhood right now there are 123 white children from all across america who are working to

tear down a vacant motel because they believe that violence can be eradicated. i think if you take those thoughts away from people that it cannot be eradicated. what you are going to end up with is a hopeless society. i believe violence can be eradicated. >> i hope you are right. if we can help you in any way, you let us know. >> thank you. i appreciate your good work. thank you very much. >> plenty more ahead as the factor moves along this evening. outrage after a newspaper publishes names and addresses of gun permit owners in the new york area. can they do anything about this? and later, is the republican party ready to embrace this man? as the future of the party hangs in the balance. some argue it's time to adopt bush's policies toward immigration. we hope you stay tuned to all of those reports.

>> laura: in the unresolved problem segment tonight, the journal news a new york area newspaper. it's facing intense criticism after the outfit posted a map on its web site showing the names and addresses of local gun permit holders. since posting the data base. >> the paper has been inundated with complaints. is there any legal recourse for these folks? joining us now from los angeles, attorney and from new york criminal defense attorney steve greeneberg. okay, kids. this thing about the gun

permit holders this kind of thing drives me nuts. we did some looking into this, we can't find any record, i will start with you, steve, of this newspaper, for instance, publishing the sex offenders. those people committed crimes. these people owned guns and legally permitted to do so. what do you think about this. >> it's irresponsible. there is is no real reason for it other than to put these people on some kind of map. i understand their outrage. it may be legal and lawful to share this kind of public information. it's clearly irresponsible. because these people now are going to be subject to potentially thieves coming into their houses, taking their guns, targeting them and so forth. the newspaper's reasoning well it's because of what happened in newtown; >> laura: connecticut. >> newtown, connecticut. right. i'm sorry had someone known that the lady had 18 guns,

there is no connection between gun ownership and the kinds of things they are trying to target. >> let me simplify this for you. i will go to anna on this. this newspaper, the news journal. i never read it and never heard about it before but apparently it is a newspaper and had does have some circulation. it has antigun agenda. it doesn't believe people should really own guns and it thinks people who own guns or have permits to own guns are probably a bunch of knuckle dragging yahoos. that's what i imagine the editors of this newspaper think. that's why they decided to put their cute little map irresponsibly their web site. finders mission for anyone who wants to rob a house. i won't go to that house or granny's house down the road because she apparently doesn't have a weapon, go i agree with you, not only is this irresponsible. it's dangerous. i support the freedom of information act when which is the basis by which the newspaper got the names and addresses of these individuals

that should not be trumped by common sense. there is absolutely no legitimate basis stated for the newspaper who have published this information. it's a danger to society. i believe there should be legal recourse. >> where is the aclu on this? very have they come out and said anything? >> i haven't seen the aclu. >> exactly. i support legislation that he is trying to get pass that would ensure in the future information contained on these gun permit applications remain private to me it's beyond irresponsible. this is agenda driven reporting. clearly intimidation tactic against anyone who is a lawful gun owner. that's a lawful act to own a gun. do you have a permit to do so. different types of permits in

new york. lawful act. an act of pure intimidation. it is abominable. i hope people watching this make their views heard to this news journal newspaper and any advertisers that support it frankly i find it to be incredibly outrageous. go to this other case a little more goofy but still has legal implication. aclu also should call their offices about news journal case. iowa case involves a dentist, steve, who fires his assistant and he fires his assistant because she amounts to, well, an attractive nuisance. the term attractive nuisance means something else in the law but we will use that to apply to her because she is beautiful and she thought she could potentially be a problem to his wife. he fired her. the iowa supreme court said no problem. >> right. the problem with this is is they are sort of splitting hairs which is what lawyers and judges do for a living. she was only attractive because she was a female. so what they should have

focused on is the fact that she got fired because she was a female. that is actionable. i think that the court came down wrongly on this case because, you know, fire. i think you are going to be attracted to her that's because she is a female. >> if she were a female and weighed 400. god bless her. might not have been an attractive nuisance. i don't think it's just a female. but he found her especially attractive. >> well, that's why he found her attractive because she was a female. >> well, but he could have found her attractive because it was a male, too. right? that could happen as well. >> you can't discriminate on gender. >> laura: we have got to go guys, out of time. counselors, we appreciate it. when we come right back, g.o.p. intense battle over the future of the party. some suggesting finding inspiration from none other than former president george w. bush. is that the right way forward? that report after these messages.

>> laura: thanks for staying with us, i'm laura ingraham in for bill o'reilly. in the personal story segment tonight. president obama attracted year whelming support among hispanics in the last election sounding defeating mitt romney 71-27 among those voters. this is less conservatives

searching for a way forward on immigration. some folks in the party are suggesting finding inspiration from former president george w. bush who recently weighed in on the debate. america is a nation of immigrants. immigrants have helped build the country that we have become and immigrants help build a dynamic tomorrow. can be a lawful society and welcoming society at the same time. i hope we do so with a ben benevolent spirit. >> is bush the face wants to embrace for the party's future. former political director for former h.w. bush and joining us from san diego murdock a fox news contributor. great to see both of you. let's start with you here. is this the way forward for

the republican party now? the republicans took a beating. they got wailed on. the messaging was romney didn't do enough to court hispanic voters. is it really illegal immigration the problem or larger problem. >> larger problem. a report came out that looked at four battleground states. we didn't get all the conservative hispanics. you look at these hispanic voters. a lot of them tend to be pro-life. they tend to be pro-traditional marriage. they are for the bush tax cuts. at lo of them are small business people. even those folks who agree with the republican party on those issues they didn't deal with mitt romney. not just illegal immigration. are we connecting them with with our conservative policies which they agree with? >> laura: i think republicans are looking at the bush administration and thinking well, look, he did win two terms. is he a two term republican president and he is becoming

more endearing to people since he is out of office. but we also have to remember that when he left office, we had lost the house, the senate, we turned over the white house for the most left wing person ever to go into the white house in the oval office and, of course, some problems on spending while he he did he attract for voters there are other issues out there as well. >> lori, you are absolutely right about that i embrace the idea of reaching out to hispanic voters. something the g.o.p. needs to do. very hard to try to get votes without asking for them. minimum a party ought to do. we have got to remember that the exit polls after the election in november. the majority of american voters blame g.w. bush than obama for the country's current economic situation. i don't think the answer to this is by reembracing bush and having jeb bush running in 2016. putting on the brother of the man hot majority of the voters think is more responsible for the shape we are in. we had tremendous spending under g.w. bush. he increased spending just a

little bit less than linden baines johnson did. second biggest spender since eisenhower since chris edwards cato institute. tarp, bailouts, medicare drug plan. expansion of government which again we have not seen since the great society. i don't think reembracing all of that and again becoming the party of big government conservatism is the way to get back in the good gracious of the voters. >> laura: i have great affection for the bush family. they spend every christmas at camp david. they were worried about their secret service and staffers being away from their families. i have great affection for them. i have had my policy differences with the bushes, however. and on this issue of illegal immigration in particular, it's very, i think, attractive for people to say if we only do this, we are going to get the latino vote. matt, when you think about this and really think about it and start playing that game, you are always going to be outbid by democrats saying okay you can bring your grandmother in. you keep going. maybe it's a tonality issue.

president bush did make that point. >> everyone thinks if you can check this box somehow we'll get them. right? that's not how politics works. it's courting them every day. i think the mere fact that we didn't get all the conservative hispanics we could have gotten that's an outrage. >> laura: that's a turnout issue. are we communicating to them. since 2006 talked about the fact that republicans lost the house and the senate. >> laura: we lost 30 house seats in and six senate seats. >> wasn't a good year. i will agree with that we stopped communicating to spanish speaking media. that's one of the things that both governors bush understood well you have tone gauge these people every day. if the republican national committee doesn't have a surrogate on ever show whenever it is wanted to explain our conservative values. >> laura: go to the neighborhoods, have you written about. this go to the places where these voters are don't be afraid to enter into territory. don't treat it as enemy territory. treat it as reagan wood. future republican voters. treat them that way. >> that's right, laura. what republicans ought to do is go to hispanic neighborhoods, black neighborhoods ask for votes

and one thing it does is takes away from democrats the race card and lets nervous white voters realize not a racist party. a party you ought to support. some minority votes and white votes by going out and making that effort. >> laura: mr. murdock, slapp, deroy and great to see you. what a gig, jesse watters goes to hawaii? what? to investigate president obama's deep connections to that state. watters world is next.

in watters world segment the president and his family spent christmas soaking up the sun in hawaii. the factor sent jesse watters to find out more about president obama's childhood in the hawaiian state. ♪ ♪ obama is a hawaii guy. is he vacationing here. >> i think there is pride. i like him. is he like let's get down. let's do it. like no worries. >> i don't give a [bleep] >> the obamas are vacationing at this estate.

secret service occupy the homes to the left and the right. usually a typical day for the president during vacation go work out in the morning at the marine base, then golf and shave ice. the area he is staying at what's the reputation there. >> really high class. good security they have down there. >> president obama is vacationing just a few houses down. >> if you want to go in and out of the neighborhood. what does that mean for you guys? >> we have to be searched. >> none of your crazy friends can come? >> i think they can. but they are just going to have to be put through the ringer, i guess. growing up in hawaii president obama known by barry. he was abandoned by african-american father. you went to school with president bromple. >> yes. i was lucky enough to be one of his classmates from fifth grade on. >> my mother-in-law remembers him scooping bass constituency robbins ice scream on king street with a big afro in high school. >> who did he run with what was his crowd like. >> people like him very cool and really good people.

there were several memories i think that we all had that were very strong and one was when his father came to speak to the fifth grade class. >> what do you remember his father speaking to the class. >> it was about kenya. enviewed a sense that there was a world outside of the united states. >> he also said that is he a little lazy and is he lazy because he grew up here. >> he is hawaiian. dude, if you are hawaiian, you have no ambition. you are lazy. >> you have no idea what time it is right now, do you. >> no. >> you are huge obama supporters. >> yeah. i voted because they say if romney win we get no more food stamps. we need obama. >> these next four years going to listen to him. what happened in the first four years? >> i don't know. i was i actually voted for mccain. >> that was four years ago. >> i know but did i. >> when obama was growing up here he said there was a lot of racial issues. how would you define the racial scene here in law. >> i'm white. i get it sometime when i'm in

the line of surfing. >> you are white? >> yeah. >> african-americans were not widely populating our schools. they were mostly located in the military family. >> i had some issues with race. we have all had issues. >> he he said he experimented with pot and some times cocaine. >> the late '70s in hawaii drugs were available. >> i saw you just a second ago smoking something out of a glass pipe. >> yes. >> what was that. >> that was my cigarette pipe. >> tobacco. >> well, tobacco. >> you and i have this thing going on it's great. >> you can feel it? >> can i feel it. >> don't make any sudden moves. >> are you a factor fan? >> i do like bill o'reilly. yes, i do. >> anything you want to say to o'reilly right now? >> no. why is he here? [ laughter ] >> would o'reilly be able to relax down here? >> he may get chased down the beach here. >> bill, calm down sometimes. >> o'reilly, you are awesome. i love watching you. you are the man. >> laura: watters, what an assignment. more and more americans are shunning the idea of organized

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>> there is widespread suspicion of institutions, beginning in government and education, and it maybe it's not serving the needs of people like it used to. and we have to accept the responsibility for that. that is our fault. if they are getting bad preaching, bad liturgy, they are not being inspired, they are not finding it with us, they will go elsewhere for us. >> i heard a great service christmas eve. i loved every minute. i decided to go to a different church. >> father makes a good point. it's a challenge to the churches to rise to the level of giving people who they need spiritually. we are spiritual beings, and

that's wired, that's hard wired into who we are, the spiritual yearning. you see is bubbling up in the culture. and ann fell away from her faith and 30 years later she finds her way back into a church. she wants to reconnect with god. and the number one movie in the country right now, it's about a man's conversion giving of himself so others can conduct seed, and we see that redemption play out in the movie. >> and different faiths have had their own problems. catholic church included with tarnishing their own brand with young people who are media savvy. and let's talk about something positive, nonpolitical. what pope benedict said in his christmas homily. it's broadcast all around the world, i don't know how many languages, dozens and dozens of languagings, and he speaks several languages, and it's about how we homily about how we don't make room for god if we

are self focused, narcissistic, self indulgent. it's a strong statement given what's happened with reality shows and a lot of us are addicted to the mirrors and we miss a lot. >> i thought reading it in its full context, it was great. but unfortunately the sound bite that gets taken out of it, we are too